Why is Bombay Cycle falling/rising?

As of 22-Jul, Bombay Cycle & Motor Agency Ltd is experiencing a price increase, currently at 2,043.95, reflecting a rise of 53.95 or 2.71%. Today's price summary indicates that the stock has outperformed its sector by 2.94% and has shown a trend reversal after two consecutive days of decline, reaching an intraday high of Rs 2,097. Over the past month, the stock has gained 7.40%, significantly outperforming the Sensex, which has decreased by 0.27%. Despite this positive movement, the stock has shown a decline in investor participation, with delivery volume dropping by 79.78% against the 5-day average. The company has demonstrated consistent returns over the last three years, outperforming the BSE500 in each of the last three annual periods, although it faces challenges with weak long-term fundamentals, including a low return on equity and poor growth in operating profit.
In the broader market context, the stock's short-term performance has been relatively strong compared to the benchmark, with a 1-week return of -0.30% for Bombay Cycle compared to -0.47% for the Sensex. This indicates that while the stock has faced some recent volatility, it has managed to maintain a better performance relative to the market. However, the company's long-term growth prospects appear weak, as evidenced by a significant decline in profits over the past year, which may raise concerns among investors despite the recent price increase. Overall, while the stock is currently rising, the underlying financial challenges could impact its future performance.